Jim Iurio's Dollar Index Trade

On CNBC's "Futures Now", Jim Iurio suggested a long U.S. dollar position.

He bought the U.S. dollar index at $94.25, with a target price of $94.90. He placed a stop loss at $93.90. He has been saying for three weeks that the dollar needs to settle above $94, before he becomes bullish in the medium term.

Iurio explained that the U.S. dollar first traded higher after the Draghi speech. It seems the market expected a bigger reduction in bonds purchase. After that the rumors about the future Fed chairman started, which also pushed the U.S. dollar higher. Iurio placed a relatively short term trade, but he is becoming medium and longer term bullish and he thinks that the trend might continue.